FRANKFURT (dpa-AFX) – The Dax (DAX 40) suffered further losses on Wednesday. At the close of the market, the leading German index was down 0.63 percent at 15,937.58 points, slipping back below the much-noticed 16,000 point mark. For the MDAX of medium-sized companies, things went downhill even more: It closed 1.40 percent lower at 27,432.70 points.
The Eurozone leading index EuroStoxx 50 (EURO STOXX 50) ultimately fell by 0.92 percent to 4350.71 points. In Paris and London, the national indices also ended trading with losses.
The US markets, which were little moved after the holiday break, did not provide any tailwind for local share prices. On both sides of the Atlantic, investors held back a few hours before the minutes of the last US Federal Reserve meeting were published. Economic data from the euro zone ultimately hardly moved.
The minutes of the US Federal Reserve should give an indication of “how popular further interest rate hikes are in the rest of the year,” wrote analyst Jochen Stanzl from broker CMC Markets. In June, the Fed took its first break after ten interest rate hikes in a row, but at the same time left the door open for further monetary tightening this year.
“Investors understandably don’t want any more increases, but would grudgingly accept two more steps,” said Stanzl. However, he fears that if the Fed crosses this “red line,” it could cause turbulence in the stock market.
Continental took the top spot in the Dax with a price increase of 3.4 percent. Stocks benefited from a positive rating from Exane BNP Paribas. The French investment bank wrote that the stars were in good shape again for the auto parts supplier. Analyst Giulio Pescatore believes that the group can achieve its medium-term goals sooner than initially thought.
Tobias Lukesch from the analysis company Kepler Cheuvreux meanwhile canceled his buy recommendation for the German stock exchange, which brought the paper a minus of 1.7 percent and one of the lower Dax places.
Real estate values were also among the losers on the German stock market after the recent recovery rally: Vonovia (Vonovia SE (ex Deutsche Annington)) fell by 1.3 percent in the Dax, and in the MDax TAG Immobilien and LEG (LEG Immobilien) fell by 2. 9 or 1.2 percent downhill. In a skeptical industry analysis, the Stifel investment house predicted further adversity for investors and is now recommending the three titles mentioned for sale.
Evotec (EVOTEC SE) was able to defend its top spot in the MDax with a plus of 2.7 percent. A lucrative antibody order from the US Department of Defense for a US subsidiary helped the shares. For the Hanseatic company, the order is also an important step in winning customers for the relatively new production plant in the USA.
In the small cap index SDAX, leader GRENKE stood out with a plus of 5.8 percent. Investors were attracted to the papers after the leasing specialist reported growing new business. At the same time, the company worked more profitably in the past quarter.
Salzgitter papers (Salzgitter), on the other hand, fell to their lowest level since the beginning of June after a skeptical analyst study. In the end, the minus was still 5.2 percent. The Oddo BHF experts pointed out the crisis in the real estate sector, which was causing problems for the steel company.
Outside of the important indices, CropEnergies securities lost almost seven percent according to quarterly figures and a confirmed outlook.
The euro recently fell slightly to 1.0862 US dollars. The European Central Bank (ECB) had previously set the reference rate at $1.0879.
On the bond market, the current yield fell to 2.51 percent from 2.55 percent the previous day. The Rex bond index (REX overall price index) rose by 0.08 percent to 124.11 points. The Bund future lost 0.32 percent to 132.76 points./gl/he
— By Gerold Löhle, dpa-AFX —